Czech Central Bank Chief Ready to Hike If Core Price Risks Grow

Czech central bank Governor Ales Michl said policymakers are ready to raise interest rates if global and domestic risks threaten to boost underlying inflation pressures.

The Czech National Bank left the benchmark at 3.5% this month, saying that rates are still “moderately restrictive.” While the board won’t react to the primary impact of higher energy costs, it will do everything necessary to preserve low consumer price growth, even if keeping rates higher for longer weighs on economic growth, Michl said in an interview posted on the Youtube channel of the Insider podcast on Monday.